$1 Billion XRP Bought This Week, But Bitcoin Is Dragging Price Down

XRP price continues to face downward pressure even as investors display strong accumulation activity. The altcoin has struggled to recover despite market stabilization and renewed investor interest. 

While accumulation has reached record levels, the broader market’s weakness and Bitcoin’s volatility continue to suppress XRP’s bullish potential.

XRP Investors Are Buying

The exchange balance for XRP has dropped to a five-year low, signaling extensive accumulation by investors. In the past week alone, roughly 500 million XRP—worth more than $1.25 billion—was withdrawn from exchanges. This surge in accumulation shows investors’ confidence in XRP’s long-term potential and their attempt to buy at low prices.

However, the price impact of this accumulation has yet to materialize. Despite the significant buying activity, XRP’s lack of strong market momentum limits upward movement. 

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XRP’s correlation with Bitcoin currently sits at 0.82, reflecting a high degree of price dependence on the crypto market leader. While such alignment is common, it becomes a challenge when Bitcoin shows weakness. With BTC under pressure, XRP mirrors this trend, preventing it from establishing an independent uptrend.

This correlation means XRP’s short-term trajectory is largely tied to Bitcoin’s market behavior. If BTC fails to stabilize or recover meaningfully, XRP could continue its decline, despite the strong accumulation from investors.

XRP Price May Face A Decline

XRP price currently sits at $2.34, hovering just above the $2.35 support level. The altcoin remains vulnerable, and a drop below $2.27 could increase bearish pressure.

If Bitcoin continues its correction, XRP could fall further toward $2.13 or even $2.00. This could worsen the already bearish impact on XRP holders, potentially undermining investor confidence.

However, if accumulation translates into sustained buying, XRP could bounce off $2.35, climbing above $2.54 to target $2.64. Such a recovery would invalidate the bearish outlook and restore market optimism.